MTUC OPPOSE MEF REQUEST TO POSTPONE NEW MINIMUM WAGE SCHEME

Referring to the Malaysian Employers Federation (MEF)’s request to postpone the implementation of Minimum Wage Order 2016 slated for July 1, Malaysian Trades Union Congress (MTUC) strongly oppose the MEF’s stand and hopes that implementation of new minimum wage will continue as planned.

Although MTUC is not happy and dissapointed with government for not considering RM1,200 as new minimum wage rate, MTUC feels that the latest scheme, at any situation, will not be a huge burden for employers. MTUC believes that Minimum Wage Order 2016 would not burden the employers as the salary increase was not that high.

To say that the implementation of the new minimum wage rate will lead to dismissal or retrenchment, it is not a reasonable excuse.

MTUC’s study and observations shows that when the minimum wage was introduced in 2013, no employers were forced to close their business and no big increases in production costs. If this situation didn’t occur during the last three years, why the employers giving unreasonable excuses now.

Therefore, MTUC is pretty sure that implementation of minimum wage will bring advantages and positive impact to the employees and the nation. We believe similar benefits will be felt by employers.

MTUC once again request the government to take all necessary measures to ensure that the minimum wage of RM1,200 to be implemented immediately.